Man City lose £100m

Manchester City have revealed annual losses of almost £100million – but insist they are still on course to fall in line with the new financial fair play rules.

Although City’s losses have been halved, they still posted a loss of £97.9m in the annual report for the 2011-12 season. City’s overall wage bill rose from £151.6m to £178.1m.

The new financial fair play rules – that are introduced at the start of the next Barclays Premier League season – which require clubs to meet a series of stipulations.

City are confident as £15m of the losses comes from infrastructure and youth development costs, while approximately £80m comes from contracts that pre-date 2010, from which City expect to get some kind of relief.

A statement read: ‘Whilst the 2011-12 financial results represent a further step towards achieving the club’s objective of long-term sustainability both on and off the field, the application of UEFA allowable reliefs for certain categories of expenditure and investment in 2011-12, position the club well for compliance with UEFA’s financial fair play regulations which come into effect in season 2013-14.’

City’s annual figures also revealed that they have recorded whopping revenue of £231.1m – the first time they have smashed through the £200m mark.

While the results show marginal increases in gate receipts and TV revenue, it is in the commercial sector where City are making huge gains.

Revenue went up from £64.7m to £121.1m, underlining City’s increased growing global exposure, which is being shown in all areas, from merchandise to club tours.

The statement continued: ‘This year’s report demonstrates the tangible and positive impact of four years of strategic investment in all operations since the acquisition of the Club by Sheikh Mansour bin Zayed in September 2008.